Product verification and authentication system and method

ABSTRACT

The present invention provides for a system and method for product verification for use with products intended to be introduced into circulation and including machine readable product data, and comprising a product data storage means, at least one portable reading device for said machine readable product data, wherein the machine readable product data is applied to products and is arranged for inspection by the at least one portable reading device remotely from the product data storage means and at at least one point in the product circulation route, and wherein the at least one portable reading device is arranged to verify the authenticity of the machine readable product data and thereby verify the authenticity of the product itself.

BACKGROUND OF THE INVENTION

1. Field of the Invention

This invention relates to a new tax revenue protection and productauthentication system designed to protect government agencies or brandowners from losses of tax revenues (particularly excise tax in case ofgovernments) from the effects of product counterfeit, illegal import ofexcise-liable goods and cross border trading and also to protect theconsumer from the dangers of consumption of counterfeit products(particularly, counterfeit drinks, tobacco, foods, pharmaceuticals,automotive spare parts) or alternatively designed to protect integratorsof complex technical devices such as aircraft parts, computers andelectronic devices. This system may also have military securityapplications for audits of inventory, etc.

2. Description of the Related Art

This invention concerns the production, use, tracking and verificationthrough-out the circulation chain of producer/importer, distributor,retailer of a secure data label or other instrument on a productcarrying both machine readable data regarding the product and preferablysecure visual means to check for product authenticity using a visualoptical security element such as a diffractive optical device or a thinfilm interference optical device. This label is coupled to a producttracking and tracing system for the government agency or commercialentity employing random data/product inspections throughout thecirculation chain as a way of using inspection feedback to monitor thesystem.

The problem of loss of government revenue due to product counterfeit,illegal (gray) import and cross-border trading has reached a monumentalscale. Billions of dollars are lost each year due to the sale of illegalgoods, especially excise-liable goods. Excise evasion leads to evasionfrom income tax and other taxes because in some territories sales ofillegal goods are unrecorded and contribute to the black market economy.Governments have long attempted to prevent this introducing variousmethods to ensure the legality of the goods. The most wide spread ofthese methods is the introduction of counterfeit-proof excise stamps(usually sequentially numbered) applied to every unit of product. Thismethod, however, only partially solves the problem because, firstly,excise stamps themselves contain only physical security features withoutany data verification elements and are therefore liable to counterfeit.Practice shows that most of the time creating a consumer-passablecounterfeit is enough to ensure safe sale of illegal or counterfeitproduct. Such counterfeit is unlikely to pass a lab test but such testsare rare and usually performed only when a major source of counterfeitgoods is discovered by law enforcement agencies. Secondly, excise stampsare supplied to producers and importers in a random manner, hardly anydatabase exists that would record the limited (albeit valuable)information that a traditional excise stamp has to offer i.e. sequentialnumbers and there is no information-based system that would describeboth the producers and importers of the product and the product itselfand allow to verify the legality of the product by tracing and verifyingits route to the point of origin.

Currently various approaches have been used for product security. Theseinclude security labelling using anti-counterfeit features such asholograms, diffractive devices, threads or various forms of securityprint to add an authentication label or document to the good containinga difficult to counterfeit public recognition security device. Examplesof such optical diffractive features are known in the art and by usageand specific examples amongst several can also be found in U.S. Pat.Nos. 4,561,41, 5,034,003, WO-A-93/18419, U.S. Pat. Nos. 5694229 and5,483,363. Such labels can also contain a unique number usually addedvia overprint. However, these systems suffer disadvantages. First, theyprovide no tracing of the product through the distribution or retailsystem to protect the supplier against parallel trading. Secondly, theyprovide the consumer with no additional security other than theirrecognition of a public recognition security device and, thirdly, thesecurity of this device against counterfeit or passing off can varydepending on the quality and technology of the device. Also there is nomeans for measuring or monitoring the system other than by activeinspection.

A further system, as used in the drinks industry, comprises adding tothe valuable items a security label containing both a visual securityelement for consumer recognition and verification in the form of adiffractive optical device, and also a bar-code pattern containingdescriptive data for use by, for example the product issuing authorityand the selling authority to reconcile and control the sale of product.This system represents an improvement over previous systems because itallows the government agency or the manufacturer to monitor and verifythe sales that are made. However, the verification available to theissuing and inspection authorities or the consumer, e.g. end customer,is disadvantageously limited to the visual recognition of the opticaldiffractive security device.

Similarly attempts have been made by integrators of complex mechanicaland electronic devices to ensure traceability of parts and componentssupplied to them. However, available means of authentication used haveoften failed to ensure the authenticity of such parts and components.

BRIEF SUMMARY OF THE INVENTION

The present invention seeks to provide for a product authenticationsystem and method having an advantage over known systems and methods.

According to one aspect of the current invention there is a providedproduct verification system for use with products arranged to pass alonga distribution route, consisting of for example a commercial consumerdistribution route or business-to-business circulation, and includingmachine readable product data, and comprising product data storage meansfor storing data corresponding to the machine readable product dataapplied to the products, and at least one, preferably intelligent, e.g.programmable, portable reading, (and preferably processing and storing)device arranged for accessing the machine readable product data at apoint along the distribution route and preferably programmed with analgorithm allowing the verification of the authenticity of such productdata and storage of the results of the verification process andpreferably arranged to download the results of the generally multipleverification processes into the product data storage means andgenerating report files. In a preferred embodiment the verificationprocess is carried out randomly on a portion of the products and can bein on embodiment carried out according to a predetermined orautomatically generated (e.g. sequence of random checks) inspectionprotocol and the results of the inspection are stored and communicatedto the authorities for verification and enforcement.

In an alternative embodiment of the current invention, there is provideda product verification system for use with products arranged to passalong a commercial consumer distribution route or business to businesscirculation and including machine readable product data, and comprisingdata storage means for storing data corresponding to the machinereadable product data applied to the products, and at least one portablereading device arranged for accessing the machine readable product dataat a point along the distribution route and to verify the authenticityof such product data via establishing a connection with product datastorage means and comparing product data applied to the products withcorresponding product data sourced from such product data storage means.

In a preferred embodiment of the current invention there is providedlabel means upon which machine readable product data is provided. Thelabel means can be applied to each product unit and/or the packaging ofeach product unit. Alternatively the label means can be applied to thepackaging of batches of product units. Advantageously the label meanscan comprise a security label which is arranged to be destroyed whentampered with or when the product is unwrapped. The security label doesnot have to be totally destroyed when tampered with but rather can bearranged to reveal that tampering has taken place.

The machine readable product data can be applied to at least one ofindividual product units, the label means, the packaging of individualproduct units or the packaging of batches of products using any one of,or any combination of, thermal transfer, inkjetting, digital printingprocesses, mechanical engraving, laser engraving and traditionalprinting techniques. It is to be understood, however, that this list isnot exhaustive and that the current invention is not to be limited tothese techniques of applying machine readable product data to theproduct, label means or packaging.

In another embodiment a visual security device is incorporated into thesystem. The visual security device can comprise, but is not limited to,at least one of a diffractive optical device, a holographic device, athin film interference device, a security print, water marked paper,threaded paper, windowed threaded paper, or security print paper. In afurther embodiment the optical security device includes hidden securityfeatures. The hidden security features can comprise, but is not limitedto, at least one of fluorescent images, diffractive images, microtextsor microimages. In one preferential embodiment the print element of thelabel will contain at least one feature ‘digitally watermarked’ (asdetailed below by repetitively altering the edge pixel pattern)preferentially designed such that the feature is destroyed by scanningor copying. In a preferred embodiment the visual security device is adiffractive or holographic device consisting of a surface reliefdiffractive structure.

In one embodiment the visual security device is incorporated into alabel means containing machine readable product data. The label meansmay then be applied to individual product units, the packaging ofindividual product units or the packaging of batches of product units.In an alternative embodiment the visual security device is applied toeach product unit by embossing or engraving.

Advantageously in one embodiment the visual security device is arrangedto be machine readable. Several forms of machine readability arepossible. One method would be to use an array of point diffractiongratings each diffracting in a different direction matched to a readerconsisting of a diode laser or similar illumination device and severaldiscrete detectors or a CCD detector for detecting the array of outputspots which can then be decoded.

Another preferred form of machine readable device incorporated within ahologram is to incorporate a small diffractive version of a bar code,preferentially a 2D bidirectional bar code (e.g. PDF-417 format) into aportion of the holographic or diffractive image. This would provide aforensically authenticatable machine readable feature. In a preferredembodiment a small are of a security diffractive or holographic imagescale size 1×1 mm up to 5×5 mm would contain a microscopically reducedversion of a 2D PDF bar code recorded as either a set of diffractive orwhite diffusive areas mixed with non recorded areas to provide the blackand white coding. Each pixel would be significantly smaller than thosenormally read by PDF bar codes and would typically be of a size lessthan the normal resolution of the human eye i.e. typically less than 250micron, typical pixel size around 25 to 100 micron. The bar codeaccuracy would rely on the high resolution of holographic anddiffractive recording processes—a preferential recording process wouldbe the direct writing of the pattern by electron beam lithography asknown in the art. A preferential form of the pixels would be as mattwhite scattering structures of random microscopic form, althoughdiffractive and diffraction grating structures could also be used. Themachine readable structure could also be concealed within another visualpart of-the image. Typically the structure of the machine readablepattern would not be visible by eye but could be used to verify theauthenticity of a diffractive security device by a forensic verificationprocess comprising recording an enlarged view of the machine verifiablefeature using an optical microscope and printing out an enlarged versionof the PDF bar code on a digital or photographic printer or similar,then reading the recorded enlarged bar code on a conventional 2D barcode reader to check that the bar code is both readable and contains thecorrect data. Optionally a special bar code scanner could be used thatreconstructed an enlarged image of the diffractive 2D bar code on animage sensitive device as used in a typical scanner to decode the barcode. The forensic route using optical microscopy offers a usefulopportunity to edge enhance by image processing the image captured toincrease the accuracy of bar code decoding. Usefully this covert barcode would contain special information about the system or the securitydiffractive device, optionally encrypted to make back engineering verydifficult and optionally linked to the encrypted features in the barcodes recorded on the items.

Preferably the machine readable product data is in the format of abarcode. Further, the bar-code format can be a bi-dimensional format. Inanother embodiment the machine readable product data is encrypted.Advantageously asymmetric or dynamic key encryption algorithms can beused to encrypt the machine readable product data.

In yet another embodiment the system comprises a product identificationreference. The product identification reference can be arranged toidentify corresponding product data stored in the product data storagemeans.

In yet another embodiment the machine readable product data is‘digitally watermarked’—a particularly useful way to achieve thisinvolves slightly and characteristically altering certain parts of the2D bar code such that the code remains readable but also containscertain second order information. Generally the second order informationwould be contained in the edge of each bar code pixel which wouldcontain instead of a sharp edge one or two small grey scale pixels onone or both edges whose repetitive nature or other coding formed ahidden code or characteristic of that particular code (a ‘digitalwatermark’). A particularly preferred position to locate such pixelswould be in the border or start/stop bars incorporated at each edge ofthe code where the additional second order marking is less likely todegrade the reading of the code information. This marking would serve asa way of securing the source of each bar code. For example, eachapplication or group of applications could have a different digitalwatermark or each printer or group of printers for an application couldbe so encoded. A useful way to write such a bar code would be using a socalled digital print engine, which could reproduce each bar code using adifferent digital watermark. Preferentially a digital printer would workfrom a custom symbol library for any particular bar code for anyparticular application—so for example there could exist a library ofcustom 2D bar code symbols each corresponding to a slightly differentedge pattern on the pixels or guard bars which could be used for anyparticular application or particular encoding required. Anotherpreferential route for production would be to alter the print driver ofa thermal print engine when used for security applications such thateach 2D code contained a particular additional encoding over-laying themain encoding. A useful way to detect such encoding would be to scan thebar code into a commercially available software, programme, such asAdobe Photoshop, and use some custom code written with this programme todecode the particular hidden code within the bar code. A preferentialand more straightforward way to decode such ‘digital watermarks’ in barcodes would be to compare the scanned bar code against an ideal blackand white pure edge bar code which would rapidly by difference revealany edge encoding on edge pixels of the image. This could be donerelatively straightforwardly with some custom software which aftercomparison then detects the repetitive pattern in the edge pixels andthen detects the repetitive code (e.g. binary pattern) stored therein.The additional coding would not only protect against counterfeit toallow an additional level of verification but would preferably also beconstructed in such a way that the additional code was degraded beyondrecognition by copying or scanning to evidence counterfeit or attemptedcounterfeit by copying or scanning. This would then provide additionalevidence of counterfeit and protection against the same. An example ofone way of forming such a code is shown in FIG. 5. Optionally some ofthe fixed printed information in a document would also contain suchadditional protection which would optionally be linked into the digitalwatermark applied to the 2d bar code. This technique could also be usedas a way of digitally watermarking line graphic print as used forsecurity print by adding additional information to the edges of the lineor block areas.

In a further embodiment the comparison between the machine readableproduct data and the product data stored in the product data storagemeans is performed automatically. Access to the product data stored inthe product data storage means can be arranged to be secure to preventunauthorised access. Additionally, the machine readable product data canalso be compared with the product itself to identify any discrepanciesbetween the actual physical product and the description in the machinereadable product data. In a preferred embodiment these checks are randomand are performed on a portion of the products. In a preferredembodiment the verification process is carried out randomly on a portionof the products and can be in one embodiment carried out according to apredetermined or automatically generated (e.g. sequence of randomchecks) inspection protocol and the results of the inspection are storedand communicated to the authorities for verification and enforcement.This is advantageous to ensure complete independence of the systemagainst internal corruption within the portions of the authenticatingbody.

The product verification system can also be arranged to be integratedinto a warehousing system.

According to a second aspect of the current invention there is provideda method of verifying products with machine readable product dataarranged to pass along a distribution route and comprising the steps ofinputting the product data into a product data storage system; applyingthe machine readable product data to each product unit; reading themachine readable product data with a portable reading device at leastone point in the product distribution route; verifying the authenticityof such product data using a pre-programmed intelligent reading,processing and storing device or using a simpler reading device tocommunicate with the product data storage means in order to compare thereceived product data from the product with product data of the productdata storage system for verification purposes; and downloading theresults of the verification.

Preferably the method of verifying products includes the additional stepof applying a visual security device to the product. Preferably thevisual security device is a diffractive or holographic device,preferably a surface relief structure with tamper evident properties.

The method of verifying products can include the additional step ofinspecting the visual security device applied to the product. In onepreferred embodiment the verification actions occur for a portion of theproducts selected randomly.

Alternatively the method of verifying products includes the additionalstep of inspecting the visual security device with a reading device.

Advantageously the method of verifying products includes the additionalstep of including hidden security features in the visual securitydevice.

The method of verifying products can include the additional step ofinspecting the hidden security features in the visual security device.

Preferably the method of verifying products includes the additional stepof comparing the product itself with the machine readable product data.Preferably this step is carried out by the inspecting authority randomlyaccording to a pre-determined or randomly determined inspection routine.

Favourably the method of verifying products includes the additional stepof comparing machine readable product data and/or product data stored inthe product data storage means and/or the product itself with otherdocumentation.

According to another aspect of the current invention there is a productdata storage system arranged to store data corresponding to machinereadable data elements associated with products, and arranged to beaccessed by at least one reading device for the retrieval of productdata stored in the storage system and to allow for modification of theproduct data by the at least one reading device.

This invention concerns the production, use, tracking and verificationthrough-out the distributor, retail and consumer chain of a secure datalabel or other instrument on a product carrying both machine readabledata regarding the product and preferably secure visual means to checkfor product authenticity using a visual optical security element such asa diffractive optical device or a thin film interference optical device.This label is coupled to a product tracking and tracing system for theenforcement or issuing agency and where certain aspects of which can beaccessed by the inspection entities during random inspections via a linkor when inspection protocols are generated according to a predeterminedor random system where the database is accessed and part of theinformation down-loaded to a (preferentially hand held) inspectiondevice used during an inspection, where the inspected product data iscompared against the genuine product data obtained from the database todetect any discrepancies and the genuine and comparison data is thencommunicated back to the database or the product issuing or enforcementagency or both to generate a result of the inspection procedure. Theresults of the inspection procedure and comparisons can also begenerated real time during the inspection process itself. This providesa way of using occasional inspection feedback to monitor and enforce thecorrect operation of the system.

This invention also relates to a product anti-counterfeiting andauthentication system and related method.

The problem of counterfeit of high value goods or health or safetycritical goods is becoming an increasing menace due to the proliferationof manufacturing technologies which enables fake goods or print to bereadily counterfeit to a standard of finish and packaging that canreadily deceive consumers. Examples of product items at risk includehigh value consumer goods such as fashion goods and watches, beverages,health critical pharmaceuticals, safety critical items such as spareparts for aircraft or vehicles, computer software and certain governmentor official documents. Brand owners, for example producers of high-valuebranded consumer products or producers of safety or health criticalproducts, can suffer from product counterfeit, illegal importation andcross-border trading resulting in reduced revenue streams for such brandowners, damage to brand reputation and potentially substantial legalliabilities for damage caused by faulty goods.

Consumers also suffer from the unknowing purchase of sub-standardcounterfeit products both for personal reasons in paying for asub-standard non-genuine product with reduced quality and benefits andalso in some cases for personal health and safety reasons such as in thepurchase and use of counterfeit medicines, pharmaceuticals, orcounterfeit spare parts. Such aforementioned consumers also include endusers or installers who wish to verify the authenticity of theirproducts such as doctors and hospitals for pharmaceuticals, aircraftmaintenance companies and airlines for aircraft spare parts, motorcommercial vehicle spare parts, computer spare parts and generally anyitem of value with a critical or important function where it is usefulto guarantee or verify the authenticity and standards of performance.Also, the term product is intended to cover all possibleitems/activities of commerce and including services and know-how.

The present invention seeks to provide for a product authenticationsystem and method having an advantage over known systems and methods.

According to one aspect of this invention a product authenticationsystem for use with products including secure machine readable productdata preferably in some cases provided in the form of a label carryingthe machine readable data and an optical diffraction based visualsecurity device for securitisation and visual authentication, andcomprising a product data storage means, a plurality of reading devicesfor reading said secure machine readable product data, communicationlink means between said reading devices and said product data storagemeans, wherein the reading devices are adapted to read the machinereadable product data on products remotely from the product data storagesystem and communicate said product data to said product data storagesystem via the communication link means to facilitate comparison of theproduct data on the product with product data in the product datastorage system and to enable modification of the data in the productdata storage system for each unit or batch of product, and includingmeans for accessing the modified data so as to identify the manner inwhich the data was modified by input from the reading devices and soidentify the passage of a unit of product via a succession of readingdevices.

In preferred embodiments the reading devices would be used through theproduct distribution chain for tracking and authenticating the productup to the point of sale by a retailer to an end customer or supply to anend commercial customer. In preferred embodiments the end customer wouldbe able to access the database, possibly to limited controlled extentpossibly by use of an internet web site, to verify the authenticity andproduct distribution route data of their particular product. This wouldprovide not only visual authentication and verification of genuinenessfor the end customer by, in a preferred embodiment, visual verificationof the authenticity of a diffractive optical security device on thelabel but also on-line verification for the end customer via thedatabase access of product authenticity. In preferred embodiments theend user would characterise the product for the database using a numbergenerated at the point of sale on for example a purchase receipt oradvantageously by use of a visual number incorporated on the productlabel. This would thus provide total visual authentication andtraceability authentication for a product not just down the supplierdistribution chain but also additionally for the end consumer or user.

In a preferred embodiment the means for labelling the products withsecure machine readable product data generates a label which is attachedto the product which in a preferred embodiment also carries a visualdiffractive optical security device for public recognition with afunction to provide security for the machine readable data againstunauthorised copying and also to secure the product against illegalcopying. The label is attached to each product unit, preferably with asuitable adhesive, and/or can be attached to the packaging of eachproduct unit or a batch of products. In a preferred but not limitingembodiment the label is arranged to be tamper proof such that when thelabel is interfered with it is obvious upon visual inspection that anattempt has been made to remove the label. In one such embodiment thelabel is arranged to be irreparable upon tampering to prevent alterationand reuse.

In a preferred embodiment visual security devices are incorporated intothe product authentication system preferably incorporated in the labeland preferably in the form of diffractive or holographic securitydevices designed to provide a visual image by the process of diffractionfor visual public recognition purposes. This is to provide a visualpublic recognition authentication and security device in addition to themachine readable verifiable device to provide a secure visual method ofauthentication to all parties along the distribution chain including thecustomer to prevent illegal copying of the labels. At least one visualsecurity device is attached to each product unit or the packaging foreach product unit, and in the preferred embodiment the diffractivevisual security device is integrated into the same label as the machinereadable data to secure the data and provide a public recognitionsecurity device to verify its authenticity to prevent illegal copyingand illegal duplication of coded data. An alternative form of opticalsecurity device could include an optical security device based on thinfilm optical effects. The visual security devices can also be applied tothe packaging of a batch of products. The visual security devices may bepreferably a visual security device based on the process of opticaldiffraction such as a diffraction grating based device (e.g. ‘kinegram’,‘exelgram’) as known in the art or a security hologram, as known in theart) which is a particularly advantageous class of device for highsecurity and a high degree of public recognition. Other known printsecurity devices may be integrated with this primary device oralternatively, although not preferentially used to provide the firstline of visual security. These anticipated secondary devices include thesecurity print based techniques of watermarked paper, threaded paper,windowed threaded paper or security print paper. It is to be understoodhowever that this is a non-exhaustive list and that the currentinvention is not restricted to these types of security devices.

In the preferred embodiment of this invention the visual diffractivesecurity device is incorporated into the label generated by the meansfor labelling products with machine readable product data in order tosecure the machine readable data against unauthorised copying andreproduction, to provide both a visual security device and a machinereadable potentially uniquely encoded security device within the samelabel, such that the visual security device protects both the productand the machine readable data from unauthorised duplication and passingoff.

A security data carrier label is normally applied onto every unit ofproduct. The product data can be unique or batch numbered or coded asappropriate. The security data carrier includes a diffractionanti-counterfeit element comprising a surface grating or holographicgrating generating an optical diffraction effect (hologram) and/or otherphysical security elements such as security print, watermarked paper,threaded paper, window thread paper, security print paper.

In another advantageous and preferred embodiment of this invention avisual human readable product identification number can be included inthe product data applied to each product unit. This number can later beused by the end consumer when, for example, accessing the productdatabase over an Internet connection to obtain tracing data for theproduct. Alternatively in a simpler form of the invention the tracingnumber could be generated and issued to the end customer at the point ofsale for use in interrogating the product database to ascertainauthenticity.

Preferably the identification number, or at least part of this, isapplied to the label carrying the machine readable data andadvantageously is applied to this indelibly and preferentially isapplied indelibly to the optical diffraction visual security element inorder to protect the product identification number from alteration. Anadvantageous method of achieving this would be by a variable chemicaldemetallisation process or by, for example, a laser ablation baseddemetallisation process. This number could also be applied to theproduct itself and could also be applied to the product indelibly.

By these means in a preferred embodiment of this invention a singletracking label applied to an article provides a secure diffraction basedvisual security device for product and label authentication andprotection against counterfeit, a machine readable portion preferably abar code (possibly 1-D or of the 2-D high density format such asPDF-417) carrying product authentication and tracking data potentiallyunique or batched, for example, and in one alternative embodiment avisual number for use by the end user when accessing the database toascertain the product history and authenticity.

In one possible alternative embodiment the diffractive device could alsocontain highly secure machine readable diffractive data matched tospecialised readers for use by some or all read stations suitablyequipped. This would be for additional secure data storage andverification, or possibly to allow access to additional secure fields ofdata within the machine readable portion of the code to add additionalsecurity and functionality.

Particularly useful applications of a whole product secureauthentication and tracking system containing both visual securityelements, tamper proof qualities and secure machine readable elementswhere the system is designed to allow the end user to verify the productwould be in the protection of high value luxury goods or spirits againstcounterfeit or diversion, the protection of high value or health andsafety critical goods such as pharmaceuticals or critical computer ormechanical parts (e.g. aeronautics) against counterfeit and diversion.

Other embodiments of the product identification system utilise differentmeans for encoding preferably labels and optionally products withmachine readable product identification data. One such approach is touse a thermal transfer device. Alternative approaches to encodingproducts with machine readable product identification data includeinkjet printers, laser printers, digital printing systems, etchingsystems, embossing systems or engraving systems. It is to be understoodthat these techniques are indicated only as examples and that thecurrent invention is not limited to these particular techniques.

Preferably the communication link facilitates electronic datatransactions. The communication link can be physical such as thehardwired telephone network, and can include internet connections, orcan be wireless incorporating transceiver means.

In a further embodiment the interface to the computerised product datastorage system incorporates security means. In one instance the securitymeans comprises encryption algorithms. The interface, for example a website for access by a standard web browser, is used by customers who havepurchased a product with product source data to access the computerisedproduct data storage system to verify the product distribution routedata contained within the computerised product data storage system forthe purposes of authenticating the purchased product. Alternatively theinterface could consist of a dedicated system. The security meansensures that only authorised persons, such as the customer, can gainaccess to the data stored in the computerised product data storagesystem. Access can also be restricted to data pertaining to the specificpurchased product or some other subset of the data stored in thecomputerised product data storage system. A restriction to read only canalso be placed on the interface.

Advantageously in one embodiment the machine readable productidentification data applied to the product is in the format of abar-code. In another embodiment it is in the format of a bi-dimensionalbar-code. The machine readable product identification data can also beencrypted. In one instance dynamic key encryption algorithms are used toconvert product identification data into bar-code format.

In another embodiment machine readable product identification data isincorporated into the visual security devices.

According to another aspect of the invention a method of productauthentication for products with machine readable product datacomprising the steps of inputting the product identification data into aproduct data storage system; reading the product identification data ofthe product with a reading device at least one inspection point withinthe product distribution chain; communicating the product identificationdata read by the reading device to the product data storage system via acommunication link; comparing the received product identification datafrom the reading device with the product data stored in the product datastorage system for authentication purposes and modifying the productdistribution route data in the product data storage system, and allowingfor access to the modified data so as to confirm the manner in which thedata was modified at the said at least one inspection point.

Preferably, the method includes the step of labelling products withvisual security devices.

The method can include the step of authenticating the product at thevisual inspection point(s) by the visual security devices.

The method can include the step of accessing the computer product datastorage system via an interface to verify data.

The method can also allow for verification of, for example, a code ornumber carried on security label or generated at last point of readingby machine reading device, for example at point of purchase.

According to another aspect of the invention there is provided a productdata storage system arranged to store data corresponding to securemachine readable data elements associated with products, and arranged toallow for serial modification of the said data by means of interactionwith respective series of reading devices, and arranged to allow forlater, preferably limited, access to the modified data by an endcustomer or consumer so as to confirm the manner in which the originaldata was modified interaction with each of the said reading devices soas to allow the end customer to confirm the genuineness of the product.Said confirmation step is preferably carried out independently of anyreading device by the end customer or consumer accessing the databaseby, for example, a web site and inputting a number or code or other dataassociated with the product or its point of purchase, such code to beoptionally generated at point of purchase or preferably to refer to bevisual readable code or number also carried by the secure product labelthat visual number optionally carried in a secure indelible way.

This invention concerns the production, use, tracking and verificationthroughout the distributor, retail and consumer chain of a secure datalabel or other instrument on a product carrying both machine readabledata regarding the product and preferably secure visual means to checkfor product authenticity using a visual optical security elementpreferably such as a diffractive optical device or a thin filminterference optical device. This label is coupled to a product trackingand tracing system for the manufacturer or brand owner and where certainaspects of which can be accessed by the end consumer via an internetsite as a check for authenticity for the consumer and as a way of usingconsumer feedback to monitor the system.

BRIEF DESCRIPTION OF THE SEVERAL VIEWS OF THE DRAWINGS

In order that the invention may be clearly understood and readilycarried into effect some preferred embodiments thereof will now bedescribed, by way of example only, with reference to the accompanyingdrawings, in which:

FIG. 1—is block diagram representing a product verification systemaccording to one embodiment of the current invention;

FIG. 2—illustrates product data applied to a product/product packagingaccording to one embodiment of the current invention;

FIG. 3—illustrates product data and a visual security device applied toa product/product packaging by means of a security label according toone embodiment of the current invention.

FIG. 4—illustrates the operation of a forensic machine readablediffractive device according to an embodiment of a particular apect ofthe present invention;

FIG. 5—illustrates a digital watermark according to an embodiment ofanother particular aspect of the invention;

FIG. 6—is block diagram representing a product authentication systemaccording to one embodiment of the current invention;

FIG. 7—illustrates product data applied to the product according to oneembodiment of the current invention; and

FIG. 8—illustrates product data and a visual security device applied toa product by means of a security label according to one embodiment ofthe current invention.

DETAILED DESCRIPTION OF THE INVENTION

In FIG. 1 there is illustrated the source of, for example a brandedproduct and identified as the producer 1 importer 1, an administrator 2,a database 3, a plurality of potential inspection points 4 in adistribution route identified as distributors (1 . . . n), a point ofsale 5, a customer 6, an inspector 7 equipped with a portable readingdevice (not shown) and a generally temporary communication link 8between the portable reading device and the database 3 through which theresult of the inspection conducted by the portable reading device on aportion of the products in circulation preferably according to apredetermined or random protocol generated by the system or inspectionagency can be downloaded or data can be down loaded from the databasebefore inspection.

The producer/importer 1 is the business entity responsible forintroduction of a product into circulation or the distribution route.The administrator 2 is an entity authorised by a regulator to operateand maintain the system, or can be the regulator itself, wherein theregulator is a government executive body such as the tax inspectorate orsecurity responsible body or an integrator of complex mechanical orelectronic devices. The database 3 is a data storage system arranged toreceive, store and possibly update product data and is administered bythe administrator 2. Distributors are participants in the commercialcirculation of a product and the route of the product from theproducer/importer 1 through all of the distributors that handle theproduct to the point of sale 5 to the customer 6, defines thedistribution route. The inspector 7 is the agent acting on behalf of theregulator who inspects the products at at least one inspection point 4anywhere in the distribution route. The inspection may take place at thepremises of a particular distributor or the producer/importer 1 of aproduct, or during transit between distributors or holding facilities,or at the point of sale 5 to the customer 6.

FIG. 2 illustrates a product 9 with product data 12 comprising a machinereadable component 10 and a reference code 11.

In the embodiment illustrated in FIG. 2 the product data 12 are applieddirectly onto individual product units 9 and/or the packaging ofindividual product units 9 and/or the packaging of batches of theproduct 9. The machine readable product data 10 is in the form of abar-code and the reference code 11 is in the form of an alphanumericcode. The product data recorded in the bar-code 10 can relatespecifically to the goods on which it is applied so, for example, thevolume of spirits contained in bottles may be recorded, or the type ofspirit. The product data recorded in the machine readable product data10 can also include the alphanumeric code. The product data can alsocontain an additional digital watermark, as described above, toadditionally verify the product data and its origin.

FIG. 3 illustrates a product 9 with product data 12 comprising a machinereadable component 10 and a reference code 11, wherein the product data12 are applied to a label 13. The label can be attached to individualproduct units 9 and/or the packaging of individual product units 9and/or the packaging of batches of the product 9. Also applied to label13 is an optical security device 14. The machine readable product data10 is in the form of a bar-code and the reference code 11 is in the formof an alphanumeric code.

The operation of one embodiment of the invention will now be described.A producer/importer 1 applies to an administrator 2 for issue of labels13 for the number of units of a product 9 that he intends to beintroduced into a particular territory. The labels 13 are generated bythe administrator 2 and contain product data 12 comprising a bar-code 10and an alphanumeric reference code 11. Corresponding product data tothat applied to the labels 13 is stored in a database 3. The labels 13are supplied to the producer/importer 1 who attaches them to each unitof a product 9. The product 9 is then released into commercialcirculation, eventually reaching a customer 6 via the distributionroute. In case of integrator for complex mechanical or electronicdevices acting as regulator, such regulator also acts as the customer 6.

At at least one inspection point 4 in the distribution route, which ispreferably selected at random, an inspector 7 inspects at least oneproduct unit 9 and its corresponding product data 12. The inspection cantake place anywhere in the distribution route from the place ofmanufacture/import into the territory, any intermediate holding orstorage facility, the premises of any distributor, when in transit inthe territory or at the point of sale 5 to the customer 6. The inspector7 may make a plurality of inspections at different inspection points 4,on a portion of the products in the distribution route or revisit thesite 4 of an earlier inspection to carry out further checks.

The inspector 7 is equipped with a portable reading device (not shown)which is arranged to read the machine readable product data 10 which, inthis embodiment, is in the form of a bar-code.

In one embodiment of the current invention the intelligent readingdevice is pre-programmed to verify the authenticity of the product datawithout communication to the database 3. In this case the product datais converted into the bar-code 10 in such a way that its retrieval isonly possible by using such preprogrammed intelligent reading device.The inspector 7 may be prompted by the reading device to input thealphanumeric reference code 11 in ordere to verify it against thereference list of alphanumeric codes contained in the memory of thereading device. If such verification is successful, the reading deviceenables bar code reading mode. The inspector 7 uses the portable readingdevice to read the bar code 10. Correct reading of the bar code is fullydependent on conversion algorithm and the reading will fail if the label13 is counterfeit and the conversion algorithm used to print the barcode is incorrect. If the reading is successful, the data stored in thebar code 10 is displayed to the inspector 7 who can compare the datavisually with the product 9 to see if, for example, the spirit bottlresare 0.5 cl and contain whiskey. The inspector 7 can also check theproduct data against other commercial documentation. Yet another checkis the comparison of the alphanumeric code 11 against the alphanumericcodee in the machine readable product data 10.

In an alternative embodiment of the current invention the portablereading device can also temporarily communicably connected to thedatabase 3 via communication link means 8, for example a cellulartelecommunication link or hardwire link. The inspector 7 uses theportable reading device to read the barcode 10. The inspector 7 can usethe alphanumeric reference code 11 to retrieve product data stored inthe database 3 corresponding to the machine readable product data 10 onthe label 13, via communication link means 8. A comparison can be madebetween the product data stored in the database 3 visually with theproduct 9. A further comparison can be made between the product datastored in the database 3 and the machine readable product data 10. Thisfurther comparison can be made with at lease a portion of the data inthe database 3 having been uploaded to the portable device forcomparison purposes. The inspector 7 can also check the product dataagainst other commercial documentation. Yet another check is thecomparison of the alphanumeric code 11 against the alphanumeric code inthe machine readable product data 10. Yet another check would be tocheck digital watermark data in the bar codes and to check machinereadable data within the visual device as a second line of forensicfeatures to check genuiness of product data in more detail.

The inspector 7 can use the portable reading device to update thedatabase 3 with the inspection results or other data.

As mentioned the machine readable product data 10 can be in the form ofa bar-code. The bar-code can be in the format of a linear bar-code or inthe format of more sophisticated devices such as the PDF-417bi-dimensional barcode. The machine readable product data 10 can also bein an encrypted format. One such technique is to encrypt the data usingasymmetric or dynamic key encryption algorithms. This preventsunauthorised retrieval of data from the barcode with non-specialisedcommercial bar-code scanners and prevents creation of counterfeit barcodes which can easily be detected because they use a differentconversion algorithm. Another technique is to encode digital watermarkdata into small elements of the bar code for forensic use as describedabove or to check the machine readable data stored within thediffractive structure.

The machine readable product data 10 can be applied to a label 13 whichin turn is applied to the product 9 or its packaging. In this embodimentthe machine readable product data 10 can be applied to the label 13using any one of, or any combination of, thermal transfer, inkjetting,digital printing processes, mechanical engraving, laser engraving andtraditional printing techniques. The label 13 can be applied to productsautomatically, by machines for example, or manually. Alternatively themachine readable product data 10 can be applied directly to the product9. In this embodiment the machine readable product data 10 can beapplied to the product 9 by a variety of techniques such as embossing,mechanical engraving, laser engraving, printing.

The label 13 can be arranged to be destroyed if tampered with or if anattempt is made to remove it from a product 9 or when the product 9 isunwrapped. The label 13 does not have to be totally destroyed but rathercan be arranged to indicate that tampering has taken place.

In another embodiment an optical security device 14 (see FIG. 3) can beapplied to the label 13 or the product 9 directly. This provides a meansof visual verification and helps to prevent illegal copying. The opticalsecurity device 14 can comprise any one of, or any combination of, adiffractive optical device, a holographic device, a kinegram, a thinfilm interference device, security print workings potentially includingdigital watermarks, water marked paper, threaded paper, windowedthreaded paper, or security print paper. This is an nonexhaustive listof the type optical security devices 14 that can be used. The preferredvisual security devices anticipated are diffractive as these have a highdegree of public recognition value and a high degree of counterfeitresistance.

The optical security device 10 can be arranged to be verified usinginstruments means (not shown) and/or visually. Instrument verificationcomprises the assessment of the presence and quality of hidden opticalsecurity features such as UV fluorescent images, hidden diffractiveimages, micro-texts and micro-images using such instruments as UV lamps,laser detectors, magnifying glasses. Visual verification comprisesvisual assessment of the presence and quality of features such as depth,colour shifts and kinetic effects. The optical security device 14 canalso be arranged to store machine readable product data 10 in a suitableformat.

The inclusion of optical security devices 10 provides a further form ofinspection for the inspector 7 to conduct. During an inspection theinspector 7 can visually verify the optical security device 14 and/orverify the optical security device instrumentally.

The product data stored in the database 3 may be encrypted and access tothe database 3 can be made secure, for example, by using passwords andsecurity protocols such as SSL.

Reading device (not shown) can be arranged to automatically compare themachine readable product data 10 with the product data retrieved fromthe database 3 to verify the product 9 at the inspection point 4.

Applications can be made to the administrator 2 either in documentaryformat, on-line via the internet, for example, or on-line using secureconnections.

Additionally, the system can be integrated in the Producer's/Importer's1 warehousing system enabling search and movement control functions forthe product 9 at such a warehouse. Communication is possible between therespective warehousing database and the database 3. Such a warehousingsystem is likely to use radio-frequency devices.

The communication link means 8 can include a modem in conjunction withcommercial mobile telecommunications equipment, a custom dedicatedmobile telecommunications system, the hardwired (or optical fibre)telephone network, the internet, or other available means.

Retrieval of machine readable product data 10 from the label 13 using areading device is an important procedure. Failure to retrieve machinereadable product data 10 in valid form can be an indication of possiblecounterfeit.

Cross-checking of machine readable product data 10 against commercialdocuments relates to verification of machine readable product data 10data elements describing the producer/importer 1 i.e. the origin of theproduct 9 against invoices, bills of lading, certificates and othercommercial documents at the inspection point 4 which documents refer ofa certain product route supposed to be originating at the same point oforigin. For example, if an invoice, bill of lading or certificate showsthat the product 9 was supplied by X originated at Y, and the machinereadable product data 10 shows Z as the producer/importer 1, this may bean indication of illegal commercial transactions.

Updating and cross-checking the database 3 can be performed off-lineafter a series of inspections the result of which are stored in readingdevices memory. This approach is facilitates verification of theinspection results against the product data stored in the database 3,and creation of a separate bank of data with inspection results forfuture reference. Alternatively, updating and cross-checking thedatabase 3 can be performed on-line by way of establishing a connection,preferably a secure connection, between a reading device and thedatabase 3 at the inspection point 4 via communication link means 8.

Generating the protocol of inspection is intended to exclude negligenceor corruption of the Inspector by way of verifying the recorded resultsof inspections which revealed potentially illegal product 9 againstactions taken and/or reported by the inspector 7 in every particularcase.

FIG. 4 illustrates the operation of a forensic machine readablediffractive device according to an embodiment of the invention and asdiscussed above. A security diffractive or holographic device (19)displays a diffractive image (20) for visual authentication and alsocontains a small area (scale size 1 mm) containing forensic featureconsisting or small areas (beneath visual resolution) of diffractive ormatt scattering structure which therefore undetectable by the eye. Thewhole device appears as a small square featureless or matt area. Toauthenticate the device, and enlarged picture (23) is obtained of thestructure using for example an optical microscope (22), which can thenbe scanned by a 2D bar code reader (24) to authenticate the device.Optionally the 2D bar code in the forensic diffractive feature isencrypted.

FIG. 5 illustrates an area (29) containing machine readable datacontaining primary data in the form of a 1D or 2D bar code (30)containing a secondary code or digital watermark in the form of a verysmall repetitive binary or pixel pattern along the edge of the main datablocks (33,34) shown schematically and enlarged by around 100 times(35). A particularly useful area to incorporate these additionalforensic codes is in the edge guard bars (31) and the enlargement (35)shows a portion of these guard bars showing a microscopic repetitivepixel pattern forming the digital watermark for the bar code (33,34)which can be revealed upon scanning and image processing the image usinga standard package such as Adobe Photoshop.

In FIG. 6 there is illustrated the source of, for example, a brandedproduct and identified as an owner 11, an administrator 12, a database13, a plurality of inspection points 14 in a distribution chain whichstretches from the owner 11 to an end customer 17, an inspection point16 at the point of sale of the product to the customer 17, communicationlinks 15 connecting each of respective reading devices (not shown)provided at each of the inspection points 14 to the database 13, and aninterface 8 to the database 13. The interface 18 is illustrated as a website which facilitates two way data transactions between the customer 17and the database 13.

As mentioned, the owner 11 is the brand owner of the product and thecontrolling authority of the product authentication system. In theillustrated example, the administrator 12 is an entity authorised tooperate and maintain the system. The administrator 12 can be the sameentity as the owner 11 or alternatively can comprise an entity having anauthorised computer programmed to input product data into the database13 and programmed to control the information transactions between thereading devices at the inspection points 14 and the database 13.

The owner 11 and/or the administrator 12 are responsible for encodingproducts 19 with secure product identification data 112 on eitherindividual product 19 or product packaging as appropriate (see FIGS. 7and 8). Product data 112 is a combination of encoded productidentification data 110 and a product identification number 111 and inone embodiment a secure visual diffractive device to provide visualauthentication and to protect against unauthorised copying andduplication of these labels. The product 19 can be any product which canreceive or which can be adapted to receive product data 112 on itself oron its packaging, optionally via an applied label. The productauthentication system could thus be used in a wide variety ofindustries. Secure product identification data 112 can be applied toeach individual unit and/or the packaging of the product 19 or can beapplied to the packaging of batches of product 19. The identificationdata describes the product and can identify the unit or consignment, theentities or owners that introduced the product into commercialcirculation and the place of origin.

The security label carrying the product identification number 111 isdisplayed on the product 19 with the machine readable identificationdata and with the visual diffractive security device (to securitise bothand allow the label to be visually verified as genuine) which is alsodisplayed on the label applied to the product to allow the customer tovisually verify the product. All three elements are preferably carriedon the same label to allow verification of genuineness of machinereadable data via the visual diffractive optical device and usefully theproduct number can be partially or wholly applied to the label ordiffractive device 19 using indelible methods. In embodiments whereindelible methods are not used standard approaches such as inkjet orlaser printing can be used to apply the identification number 111 to theproduct 19. The number can identify the product type or the individualunit as required. The encoded product identification data 110 istypically applied to the product 19 in bar code format, and is machinereadable and is securitised against unauthorised copying by the visualdiffractive security device. The bar code format can be either linear orbi-dimensional and can also be encrypted using dynamic key encryptionalgorithms.

The term labelling is used in the broadest sense. That is machinereadable product identification data 112, visual diffractive securitydevice and product identification number can preferably can beincorporated in a label 113 which can be adhered to the product 19, thelabel 113 being retreated with an adhesive during the manufacturingprocess or an adhesive applied in a separate operation prior toattachment to the product 19. One such example is a security label 113which is adapted to be destroyed when tampered with. Alternativelylabelling the product 19 with product data 112 can be achieved using avariety of printing techniques such as inkjetting, thermal transfer,laser printing or other digital printing methods. Likewise, othertechniques such as etching, engraving or embossing can be employed.

Amalgamating the elements of machine readable identification data andvisual security device and optionally product identification number intoone secure machine readable and visually verifiable preferably tamperevident label and counterfeit protected security label on the productprovides a significant security and control enhancement over applyingthese elements separately, although this possibility is recognised inthis invention and is anticipated here as a less secure and less elegantapproach.

The owner 11 and/or the administrator 12 can also input the product data112 into the database 13. The product data 112 is stored in the database13 and can be accessed and modified by the owner 11 or the administrator12. Records in the database can also be modified when information isreceived from the reading devices at the inspection points 14 at variousstages in the distribution chain and the inspection point 6 at the pointof sale of the product 19 where visual authentication and verificationof the correct visual optical diffractive security device also takesplace. At the point of sale the customer can also visually verify theoptical diffractive security device and later and later access thedatabase using the optional product identification number to furtherauthenticate the genuineness of the product. At this stage the customercan also be provided with additional information or sales opportunitieson this or similar products or additional product information. Thedistribution chain simply refers to the route between the varioussuppliers who handle the products 19 from the owner 11 through theretailer to the customer 17 at the point of sale 16.

The inspection points 14, 16 are typically remote from the database 13.Data is transferred from the reading devices to the database 13 viacommunication links 15. The reading devices will typically read theencoded product identification data 110 and a signal is sent to thedatabase 13. This signal contains data about the specific productchecked at a particular point in the distribution chain. The encodedproduct identification data 110 is then compared with the product datastored in the database 13. The comparison can either be performedmanually by the owner 11 or administrator 12 or automatically by thedatabase system 13. If a positive comparison is made between theincoming encoded product data 110 and the product data stored in thedatabase 13 then the product identification data record in the database13 can be updated. For example, the record can be updated to includeinformation about the supplier at the inspection point 14, informationpertaining to the previous supplier from whom the products 19 werereceived, the next destination of the products 19, or details about theretailer or customer at the point of sale 16. Security protocols can beintroduced to enable distributor access to the database 13. The purposeto the security protocols is to ensure the data received is from theappropriate distributor and in the correct format to protect theintegrity of the product data held in the database 13.

The communication links 15 between the reading devices at the inspectionpoints 14, 16 and the database 13 can be existing telecommunicationsystems, and can include programmed computers to send product data in aparticular format. Alternatively dedicated communication systems can beemployed.

The reading devices are adapted to read the encoded productidentification data 110. The type of reading devices used depends uponthe format of the encoded product identification data 110. A typicalreading device is a bar code reader. In some embodiments the bar codereader is adapted to read encrypted bar codes.

Visual optical diffractive security devices 114 can also be attached tothe product 19. The purpose of the visual security devices 114 is toprovide a visual authentication means in addition to the encoded productidentification data 110 and product identification number 111, toauthenticate product and authenticate genuineness of label and protectagainst unauthorised copying of machine readable product data. Thevisual security devices can be authenticated at any of the inspectionpoints 14, 16. Typical visual security devices 114 include diffractiongrating security elements, holographic gratings, security holograms,thin film interference optical devices. These could be augmented bysecurity print techniques, water-marked paper, threaded paper, windowthreaded paper and security paper, primarily these are anticipated assecondary security devices as they are regarded as having lesseffectiveness as public recognition devices than diffractive devices,though this invention recognises that such devices could be substitutedfor the diffractive devices in this system and anticipates and claimssuch systems also. The visual diffractive security devices 14 can beapplied to each individual unit and/or the packaging of product 9 elsecan be applied to the packaging of batches of product 19. The devices114 can be applied to, or incorporated with, the label 113.Alternatively the devices 114 can be applied to the product 19 using avariety of printing techniques such as inkjetting, thermal transfer,laser printing or other digital printing methods. Likewise, othertechniques such as etching, engraving or embossing can be employed.Certain visual security devices 114 can also be adapted to incorporatemachine readable product data.

The interface 18 provides access for the customer 17 to product datastored in the database 13. Using the product identification number 111the customer is able to select and view the appropriate productdistribution route data record and therefore confirm the authenticity ofthe purchased product 19 in a preferred embodiment in addition to beingable to use the visual diffractive security device at the point of sale.The interface 18 can be a web site limited two-way connection. Otherdata can be made available to the customer 17 such as instructionmanuals, warranty details, advertising and promotion and retrieval ofadditional customer information or offering extra services. A facilityto gather customer 17 feedback can also be incorporated into theinterface 18. The interface 18 can also be used as for secondary salesof banner space.

The interface 18 can include appropriate security protocols to limit thescope of the customer 17 interaction with the database 13. The customer17 can be limited to access all or part of the appropriate productdistribution route data concerning a specific unit of the product 19which has been purchased. Further security protocols can be used toensure that access to the product distribution route data stored in thedatabase 13 is restricted to the customer 17 or to a person nominated bythe customer 17. Such protocols may include user names and/or passwords.The customer's 17 user name and password can be supplied with theproduct. One such method is to automatically generate the user nameand/or password on the retailer's receipt at the point of sale 16.Alternatively the user name and/or password can be supplied with theproduct at the point of commercial circulation or at some later point inthe product distribution chain. One such method is to generate the username and/or password during the product data labelling phase. Wheresecurity protocols include encryption algorithms encryption software canalso be supplied to the customer 17. Another useful method is to use theproduct identification number or code incorporated in the originalsecurity label for this.

Advantageously the product authentication system can be integrated intothe owner's 11 warehousing system. Such a hybrid system can be adaptedto facilitate search and movement control functions for the product 19at the owner's 11 warehouse. The hybrid system can be arranged such thatthere is communication between the warehouse database and the database13. Transceiver devices can also be incorporated into the system tofacilitate communication between components of the hybrid system.

Usage of the product authentication system will now be described.Product identification data 112 and preferably (optionally) a visualdiffractive security device are applied to every unit of the product 19via typically a security label 113. The product data 112 are sourced bythe administrator 12 from the owner and are down loaded into the centraldatabase 13. A portion of the source data are converted by theadministrator 12 into bar code format (encoded product data 110) usingencryption algorithms which are then applied to security labels 113together with a product identification number 111. The productidentification data 110 can be printed on to the security label 113 byeither inkjet or laser printing methods. A visual security device 114,such as a holographic grating, is also incorporated into the securitylabel 113, which is then attached to each individual unit of the product19.

The product is then released into commercial circulation by the owner11. Encoded product identification data 110 is read by a reading deviceat the point of original sale and is communicated to the database 13.The product identification data 110 received from the reading device iscompared with the product data stored in the database 13. In oneembodiment during the product circulation the authenticity of theproduct and the security label can also be ascertained to a first levelvisually by use of the visual security device. This comparison can bemade automatically by the database system 13 or manually by theadministrator 12. If the comparison is positive the database 13 requestsdata from the point of original sale to update the product data recordin the database 13. Additional information about the product route isentered into the database 13 such as the identification of the customerat the point of original sale.

The product 19 then moves through the various stages of the distributionchain until it arrives at the end point of sale 16. Product 19 isinspected and authenticated visually and by machine en route at a numberof predetermined inspection points 14 within the distribution chain.Encoded product identification data 110 is read by a reading device atinspection point 14 and is communicated to the database 13. The productdata 110 received from the reading device is compared with the productdata stored in the database 13. This comparison can be madeautomatically by the database system 13 or manually by the administrator12. This process can be performed on-line or in a batch format at theend of a working period. If the comparison is positive the database 13requests data from the inspection point to update the product datarecord in the database 13. Additional information about the productroute is entered into the database 13. Each inspection point 14 has theappropriate information or hardware to comply with the securityprotocols built into the database 13 and can carry out visual inspectionas appropriate to verify genuineness of security label using thediffractive device in one embodiment which can also be used for firstline authentication in situations where machine reading is notavailable. Each product 19 can also be authenticated by means of visualinspection of the visual security device 114.

Optionally the product passes through one or more inspection pointswhere inspection and authentication of the product is carried out eitherat the point of sale or elsewhere in the product commercial circulationcycle by a party authorized by the Owner (potentially the Administratoror a party acting for the Administrator, the retailer or suitable pointsin the distribution chain) which inspection consists of visual and/orinstrumental authentication.

The authentication process is repeated at the point of sale 16 to thecustomer 17 by the retailer. Both the retailer and the customer 17 arealso able to visually authenticate the product 19 by the visual securitydevice 115.

Having purchased the product 19 the customer 17 is able to interrogatethe database 13 via an interface 18 to authenticate the product 19 byaccessing product distribution route information confirming the sourceof the product and the distribution chain employed so as to receive dataverifying the complete route taken from source to end point of sale. Theinterface 18 is typically a secure web site. The customer 17 is providedwith a password and/or user name as appropriate, or in one embodimentuses the product data number or code as applied initially to thesecurity label, or uses any other requirements to comply with thesecurity protocols, so as to be able to access the product data recordin the database 13 through the web site. The appropriate product datarecord is identified using the product identification number 111. Thecustomer 17 can then authenticate the product 19 which has beenpurchased. The interaction of the customer 17 and the database 13 isrestricted.

The interface 18 can also be used by the customer 17 to register forwarranties, gain access to general product information or to providefeedback for marketing purposes or additional and specific productinformation (e.g. usage for pharmaceuticals or safety critical spareparts). The process can be used to inform the customer if the product isnot genuine or suspect.

A preferred example of the full system operation is as follow:

-   -   Product identification data are applied onto every unit of the        Product via Secure data carrier (security label) by the Owner of        the product or by the Administrator of the product        authentication system appointed by the owner and downloaded into        the Database.    -   The Product is released into commercial circulation by the        Owner. Product identification data are retrieved from secure        data carrier at the Point of Original Sale, a connection with        the Database is established, the Database verifies product        identification data and requests updating (additional Product        Route data) from the Owner.    -   The Product arrives to the Distributor and is further released        down the Distributor/Retailer chain by the Distributor. Product        identification data are retrieved from secure data carrier at        the Point of Distributor Sale, a connection with the Database is        established whereby access is granted to the Distributor upon        verification of the Distributor Password, the Database verifies        identification Data and requests updating (additional Product        Route data) from the Distributor. This can be done on-line or in        a batch format for example at the end of a working period.    -   Optionally the product passes through one or more Inspection        Points where inspection of the product is carried out either at        the point of sale or elsewhere in the product commercial        circulation cycle by a party authorized by the Owner        (potentially the Administrator or a party acting for the        Administrator, the retailer or suitable points in the        distribution chain) which inspection consists of visual and/or        instrumental authentication.    -   The Product arrives to the Retailer and is further sold to the        Consumer. Product identification data are retrieved from secure        data carrier at the Point of Retailer Sale, a connection with        the Database is established whereby access is granted to the        Retailer upon verification of the Retailer Password, the        Database verifies product identity data and requests updating        (additional Product Route data) from the Retailer. This can be        done real time on-line or in batch format for example at end of        working day when a number of transactions could be logged.    -   Optionally in a preferred form both the Retailer and the        Consumer at the point of sale can visually verify the        authenticity of the Product by the presence and visual        performance of the diffractive optical device (OVD).    -   The Consumer upon purchasing the Product verifies the        authenticity by, logging onto the Internet Site applicable to        the Owner (additional access restriction for the Consumer can be        introduced in the form of the Consumer Password) and inputs the        product identification code or number. Having exchanged data        with the Database, the Site makes available all or part of the        Product Route data for the Consumer to verify purchase detail        authenticity and thereby providing the Consumer with 100%        accurate authentication of the Product. If the product was not        genuine or had not followed the appropriate supply chain the as        appropriate Consumer and Owner could be automatically alerted.    -   Optionally at the consumer verification stage of the Owner can        also offer the consumer additional service or functions such as        warranty and the owner can request additional information from        the Consumer for marketing purposes.    -   The Internet Site in step is optionally reconciled with        additional information in the Database thereby detailing any        deviations or unauthorized products which are notified to the        Owner and/or appropriate authorities for action.

It should of course be appreciated that the invention is not restrictedto the details of the foregoing embodiments.

It should of course be appreciated that the invention is not restrictedto the details of the foregoing embodiments as it will be obvious tothose skilled in the art that minor changes can be made to theinvention, for example, the use of more than one database or inspector,using different techniques to apply product data to the product 9 andthe type and number of visual security devices used.

1. A product authentication system for use with products includingmachine readable product data, the system comprising: a product datastorage system; a plurality of reading devices for reading said machinereadable product data; communication link means between said readingdevices and said product data storage means; wherein the reading deviceslocated remotely from the product data storage system are adapted toread the machine readable product data on a unit of product andcommunicate said product data to said product data storage system viathe communication link means to achieve comparison of the product dataon the product with product data in the product data storage system andto enable modification of the data in the product data storage systemfor any unit of product; and means for accessing the modified data so asto identify the passage of a unit of product via a succession of readingdevices, wherein at least one of the portable reading devices isarranged for accessing the machine readable product data remotely fromthe product data storage system at a point along a product circulationroute for the purposes of verification of authenticity of such machinereadable product data and hence verification of authenticity of theproduct, wherein the product comprises an optically-variable diffractivesecurity element open to public verification without a specializedreader.
 2. A product authentication system as claimed in claim 1,wherein at least one of the portable reading devices is arranged foraccessing the machine readable product data remotely from the productdata storage system at a point along a product circulation route for thepurposes of verification of authenticity of such machine readableproduct data and hence verification of authenticity of the productitself.
 3. A product authentication system as claimed in claim 1,wherein the at least one of the portable reading devices is arranged foraccessing at least part of the product data-for a verification process,and arranged to download the results of the verification process.
 4. Aproduct authentication system as claimed in claim 1, wherein the pointalong the product circulation route is selected in a random manner.
 5. Aproduct authentication system as claimed in claim 1, wherein at leastpart of the product data is downloaded from a database to the at leastone of the portable reading devices for the verification process.
 6. Aproduct authentication system as claimed in claim 1, and arranged forverification of products at a point of delivery to an end consumer.
 7. Aproduct authentication system as claimed in claim 1, further comprisinglabel means upon which the machine readable product data is provided. 8.A product authentication system as claimed in claim 7 wherein the labelmeans comprises a security label which is arranged to be destroyed whentampered with or when the product is unwrapped.
 9. A productauthentication system as claimed in claim 7, wherein the label means isapplied to each product unit and/or the packaging of each product unit.10. A product authentication system as claimed in claim 7, wherein thelabel means is applied to the packaging of batches of product units. 11.A product authentication system 1, wherein the machine readable productdata is applied using a method selected from the group consisting ofthermal transfer, inikjetting, digital printing processes, mechanicalengraving, laser engraving and traditional printing techniques.
 12. Aproduct authentication system as claimed in claim 1, wherein theoptically-variable-device security element comprises hidden securityfeatures.
 13. A product authentication system as claimed in claim 12wherein the hidden security features comprise at least one offluorescent images, diffractive images, microtexts and microimages. 14.A product authentication system as claimed in claim 1, wherein theoptically-variable-device security element is incorporated into a labelmeans containing machine readable product data.
 15. A productauthentication system as claimed in claim 1, wherein theoptically-variable-device security element is formed by applying asurface relief structure by embossing or engraving.
 16. A productauthentication system as claimed in claim 1, wherein theoptically-variable-device security element is machine readable.
 17. Aproduct authentication system 1, wherein the machine readable productdata is in the format of a bar-code.
 18. A product authentication systemas claimed in claim 17 wherein the machine readable product data is inthe format of a two-dimensional bar-code.
 19. A product authenticationsystem 1, wherein the machine readable product data is encrypted.
 20. Aproduct authentication system as claimed in claim 19 wherein the machinereadable product data is encrypted using asymmetric or dynamic keyencryption algorithms.
 21. A product authentication system as claimed inclaim 1, further comprising a product identification reference.
 22. Aproduct authentication system as claimed in claim 21 wherein the productidentification reference is arranged to identify corresponding productdata stored in the product data storage system.
 23. A productauthentication system as claimed in claim 1, wherein the at least one ofthe portable reading devices comprises an intelligent portable readingdevice, such intelligent portable device being pre-programmed to be ableto verify the authenticity of the machine readable product data withoutcommunicating to the product data storage system.
 24. A productauthentication system as claimed in claim 23, wherein the intelligentportable reading device is enabled for reading data responsive to aninput of reference data.
 25. A product authentication system as claimedin claim 23, wherein a correct data reading at the intelligent portablereading device is dependent upon a conversion algorithm employed forprinting the machine readable data.
 26. A product authentication systemas claimed in claim 1, wherein the at least one of the portable readingdevices is used to verify the authenticity of the machine readableproduct data by communicating with the product data storage system andcomparing the retrieved machine readable product data and the productdata stored in the product data storage system.
 27. A productauthentication system as claimed in claim 26, wherein comparing themachine readable product data and the product data stored in the productdata storage system is performed automatically.
 28. A productauthentication system as claimed in claim 1, wherein the machinereadable data is compared with the product itself.
 29. A productauthentication system as claimed in claim 1, wherein access to productdata stored in the product data storage system is secure.
 30. A productauthentication system as claimed in claim 1, wherein the authenticationsystem is arranged to be integrated into a warehousing system.
 31. Aproduct authentication system as claimed in claim 1, wherein the machinereadable product data comprises a machine readable data representationcomprising a graphical indicia adapted to include a digital watermark.32. A product authentication system as claimed in claim 31, wherein thedigital watermark is formed by digitally watermarking line or areaprinted structures formed by standard print techniques.
 33. A productauthentication system as claimed in claim 32, wherein the machinereadable data representation comprises a 2D bar code adapted to containsecond order information by way of the digital watermark.
 34. A productauthentication system as claimed in claim 32, wherein the digitalwatermark is formed at pixels defining the edge of the indicia.
 35. Aproduct authentication system as claimed in claim 34, wherein thedigital watermark consists of a repetitive pattern of edge pixels formedaccording to a predetermined rule.
 36. A product authentication systemaccording to claim 1, wherein the optically-variable-device securityelement is also provided on the label.
 37. A product authenticationsystem according to claim 1, wherein the machine readable product datais in the format of a bar-code.
 38. A product authentication systemaccording to claim 37, wherein the machine readable product data is inthe format of a bi-dimensional bar-code.
 39. A product authenticationsystem for use with products including machine readable product data,the system comprising: a product data storage system; a plurality ofreading devices for reading said machine readable product data;communication link means between said reading devices and said productdata storage means; wherein the reading devices located remotely fromthe product data storage system are adapted to read the machine readableproduct data on a unit of product and communicate said product data tosaid product data storage system via the communication link means toachieve comparison of the product data on the product with product datain the product data storage system and to enable modification of thedata in the product data storage system for any unit of product; andmeans for accessing the modified data so as to identify the passage of aunit of product via a succession of reading devices, wherein the machinereadable product data comprises a forensic machine readable datarepresentation comprising an array of point diffractive structures ofindividual scale size below the normal resolution of the eye andarranged to comprise a representation of a bar code, and wherein theproduct comprises an optically-variable diffractive security elementopen to public verification without a specialized reader.
 40. A productauthentication system as claimed in claim 39, wherein the machinereadable data representation further comprises a diffractiverepresentation of a bar code.
 41. A product authentication system asclaimed in claim 39, wherein the bar code comprises a 2D bar code formedfrom a portion of a diffractive or holographic image to be replayed inaddition to the machine readable data.
 42. A product authenticationsystem as claimed in claim 39, wherein the machine readable datarepresentation is arranged such that an optical microscope is arrangedto record an enlarged image of the machine readable features forsubsequent reading.
 43. A product authentication system for use withproducts including machine readable product data, the system comprising:a product data storage system; a plurality of reading devices forreading said machine readable product data; communication link meansbetween said reading devices and said product data storage means;wherein the reading devices located remotely from the product datastorage system are adapted to read the machine readable product data ona unit of product and communicate said product data to said product datastorage system via the communication link means to achieve comparison ofthe product data on the product with product data in the product datastorage system and to enable modification of the data in the productdata storage system for any unit of product; and means for accessing themodified data so as to identify the passage of a unit of product via asuccession of reading devices, wherein the machine readable product datacomprises a forensic machine readable data representation comprising anarray of matt scattering area structures of individual scale size belowthe normal resolution of the eye and arranged to comprise arepresentation of a bar code, and wherein the product comprises anoptically-variable diffractive security element open to publicverification without a specialized reader.
 44. A product authenticationsystem for use with products including machine readable product data,the system comprising: a product data storage system; a plurality ofreading devices for reading said machine readable product data;communication link means between said reading devices and said productdata storage means; wherein the reading devices located remotely fromthe product data storage system are adapted to read the machine readableproduct data on a unit of product and communicate said product data tosaid product data storage system via the communication link means toachieve comparison of the product data on the product with product datain the product data storage system and to enable modification of thedata in the product data storage system for any unit of product; andmeans for accessing the modified data so as to identify the passage of aunit of product via a succession of reading devices, wherein the readingdevices are associated with a respective plurality of locations along aproduct distribution route, wherein the modification of data serves toupdate the data in the product data storage system so as to identify thelocations through which the product passes, wherein the means foraccessing the modified data is arranged to allow an end customer toverify the distribution route taken by the product, said means thereforebeing available for access by an end customer, and wherein the productcomprises an optically-variable diffractive security element open topublic verification without a specialized reader.
 45. A productauthentication system for use with products including machine readableproduct data, the system comprising: a product data storage system; aplurality of reading devices for reading said machine readable productdata; communication link means between said reading devices and saidproduct data storage means; wherein the reading devices located remotelyfrom the product data storage system are adapted to read the machinereadable product data on a unit of product and communicate said productdata to said product data storage system via the communication linkmeans to achieve comparison of the product data on the product withproduct data in the product data storage system and to enablemodification of the data in the product data storage system for any unitof product; and means for accessing the modified data so as to identifythe passage of a unit of product via a succession of reading devices,and including a product identification number arranged to be employedfor accessing the modified data, wherein an indication of the productidentification number is arranged to be generated at the point of sale,and wherein the product comprises an optically-variable diffractivesecurity element open to public verification without a specializedreader.
 46. A product authentication system according to claim 45,wherein the product identification number is provided with the product.47. A product authentication system according to claim 46, wherein atleast part of the product identification number is applied to theproduct indelibly.
 48. A product authentication system according toclaim 45, wherein the means for accessing the modified date includes aninterface to the product data storage system.
 49. A productauthentication system according to claim 48, wherein the productidentification number serves to provide access to the interface to theproduct data storage system for the end customer.
 50. A productauthentication system according to claim 48, wherein the interface tothe product data storage system includes security means which comprisesencryption algorithms.
 51. A product authentication system for use withproducts including machine readable product data, the system comprising:a product data storage system; a plurality of reading devices forreading said machine readable product data; communication link meansbetween said reading devices and said product data storage means;wherein the reading devices located remotely from the product datastorage system are adapted to read the machine readable product data ona unit of product and communicate said product data to said product datastorage system via the communication link means to achieve comparison ofthe product data on the product with product data in the product datastorage system and to enable modification of the data in the productdata storage system for any unit of product; and means for accessing themodified data so as to identify the passage of a unit of product via asuccession of reading devices, wherein the machine readable product datais encrypted using a dynamic key encryption algorithm, wherein theproduct comprises an optically-variable diffractive security elementopen to public verification without a specialized reader.
 52. A productauthentication system for use with products including machine readableproduct data, the system comprising: a product data storage system; aplurality of reading devices for reading said machine readable productdata; communication link means between said reading devices and saidproduct data storage means; wherein the reading devices located remotelyfrom the product data storage system are adapted to read the machinereadable product data on a unit of product and communicate said productdata to said product data storage system via the communication linkmeans to achieve comparison of the product data on the product withproduct data in the product data storage system and to enablemodification of the data in the product data storage system for any unitof product; and means for accessing the modified data so as to identifythe passage of a unit of product via a succession of reading devices,wherein the means for accessing the modified data is arranged to operatevia an Internet connection, and wherein the product comprises anoptically-variable-device security element open to public verificationwithout a specialized reader.
 53. A product authentication systemaccording to claim 52, wherein the Internet connection providesconnection to a web site belonging to the source of the product.
 54. Amethod of product authentication for products with machine readableproduct data comprising the steps of: inputting the product data into aproduct data storage system; reading the product data of the productwith a reading device present in at least one inspection point withinthe product distribution chain; communicating the product data read bythe reading device to the product data storage system via acommunication link; comparing the received product data from the readingdevice with the product data stored in the product data storage systemfor authentication purposes and modifying the product data in theproduct data storage system; and allowing for access to the modifieddata so as to confirm the manner in which the data was modified at theat least one inspection point and so as to identify the passage of aproduct via the at least one inspection point, including the step ofproviding an optically-variable diffractive security element open topublic verification without a specialized reader in addition to themachine-readable product data.
 55. A method according to claim 54,including the step of authenticating the product at the at least oneinspection point by the visual security devices.